There is some kind of French Cuteness Authority that rates villages. At the top are the villages rated Plus Beau, then villages of Character, villages of Charme, and finally (I guess) the dreaded Unrated.
This one is Saignon, which is Plus Beau in my book.
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Dubjay is not kidding: there exists an association called "The Most Beautiful French Villages", which aims to promote development and tourism in selected small towns.
Official site (in French):
http://www.les-plus-beaux-villages-de-france.org/
Enjoy!
Jean-Daniel